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  • Writer's pictureJamie Leeper

The cost of FMS for national retailers

Updated: Mar 25, 2019

Royal Services' clients look at total cost vs. upfront prices
Royal Services' clients look at total cost vs. upfront prices

During the purchasing process, human beings tend to commoditize both products and services. With products there are certain things that are exactly the same and a true apples-to-apples price comparison can be made. However, there is often a noticeable difference in quality which justifies a higher price. The problem arises when services, which are obviously more abstract and less tangible than a product, are commoditized.


Services vs. Products

As a nation of consumers, we all make thousands of purchasing decisions each year. It might be for products like auto-insurance and cell phone plans, or services such as house cleaning and dental work. We all make these decisions based on factors including quality, disposable income, support of a local business, similar beliefs, and available discounts. The real challenge begins when a service is commoditized, and consumers are shocked when they experience a night and day difference in their satisfaction. At the end of the day we typically find the saying you get what you pay for to be very true, but some people can't wrap their head around why.

Personally, I refuse to pay the ridiculous fees associated with Business Class and First Class cabins when flying, but still expect a relatively high level of quality. Being from England originally, it costs my family a small fortune to visit my family in the motherland.

Company size

My wife and I spent 2 weeks last summer visiting my family back in Europe. We had an incredible time, and as is often the case, it was nice to get away from the day to day office routine, and be able to take a look at things from different perspectives. During our time overseas we encountered many different organizations and many different people from all walks of life. One of the common themes of our conversations was the consistency experienced within some of the larger companies that we interacted with.

1st class service

We flew with Virgin Atlantic, and their service was exceptional from start to finish. They made us feel comfortable, went above and beyond to help us with our needs (which were more than usual as we were traveling with our two young boys) and every one of them clearly had the goal of making the customers' experience the best it could possibly be. 8 hours in a metal capsule is a challenge at the best of times, but the quality of service made time fly (Pun definitely intended).

Virgin Atlantic provided a wonderful flight experience for families

All Positive Experiences

The same level of service was experienced with Premier Inn, the hotel chain where we spent several nights of our time away from home. These are both huge companies where the sheer size of operations means that there is more likely to be issues compared to working with a smaller organization. The larger corporations typically have more resources at their disposal, but a huge number of moving parts mean that there is a pretty high chance of things falling through the cracks. However, we did not have any negative incidents during our time with these organizations and thoroughly enjoyed the entire experience.

Up-front vs. Total Cost

On past vacations we have traveled with airlines such as United, Delta, and American Airlines. Having lived in the USA for the past 12 years I have made several Trans-Atlantic flights and sadly the quality of service has been deteriorating. However, that trend was bucked on this last journey. We paid a little more in upfront costs for our tickets with Virgin, but it was 100% worth it. From the exceptional customer service and the free checked luggage, to the delicious meals, comfy cabin and complimentary adult beverages, we felt relaxed and at home. We also had a sweetheart of a flight attendant who went out of her way to entertain our two young boys. We could have done with her for the rest of the journey!

You Get What You Pay For

In previous years we have chosen our flights completely based on price and have been frustrated as the total price came out to be much more than was advertised. Such things as extra luggage fees, poor quality of meals, minimal selection of complimentary drinks, and an uncomfortable and outdated plane made the experience far from enjoyable. Also, the price, after adding in all of the add ons, actually ended up being more than we paid with Virgin. We fell for the lower initial cost and ended up feeling like we had been stolen from due to all of the extra fees that kept appearing.

More US routes please!

The experience with Virgin was first class from start to finish, and we will be traveling with them for our future Trans-Atlantic needs. We just hope that Virgin can establish a more frequent service in the USA and improve the flying experience for all involved. To Mr. Branson and the rest of the team at Virgin Atlantic, thank you for such an incredible experience that we will never forget!

What matters to you, quality or price? Do you look at the upfront cost or the total cost? Are you being screwed over by companies that come in with low initial costs and then hit you up for every extra fee under the sun? If you are sick and tired of being given the run around with your facility maintenance services, give us a call today to see how our transparent partnership approach benefits all companies that decide to work with us. We operate so differently that we offer a pilot-program to give you a hands on experience of our unique service.

Improve quality and efficiency, whilst saving costs: that's the Royal Difference. We'll also get you your evenings and weekends back!

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